I've just followed it again and I installed a previous version of WordPress without problems. After that, I tried to update WordPress and I received the page asking for the credentials as you mentioned. In order to fix it, I needed to update the wp-config.php file of WordPress and set this line:
/* That's all, stop editing! Happy blogging. */
Please note that the second one is already in the configuration file. It seems that something was not working properly in WordPress and I needed to set the FS_METHOD to its default value in order to make it work.
You don't need to modify the OS, I mentioned the migration because it's really easy to use in WordPress and you can easily have WordPress and NGINX already configured.
You are right, we are working on publishing this solution in the Azure's Marketplace but you can launch it now in the Bitnami Launchpad for Azure
I hope the change in the configuration fixes the problem.
Happy to help!
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